UBER Has Arrived
I have been watching Uber (UBER) closely for a year and I’m now convinced that it will be one of the best stocks of the next decade. While the stock is off nearly 5% this morning in reaction to its 2Q23 earnings report that’s only because the stock was so overbought heading in. Fundamentally, it was another blowout quarter.
Mobility plus Delivery Bookings were +19% in the quarter resulting in Revenue of +14%. Adjusted EBITDA was a record $916 million. Many will focus on UBER’s Net Income of $394 million – but that’s misleading because UBER revalued its equity investments up by $386 million (pretax) in the quarter. Nevertheless, real profitability is right around the corner.
While I’ve been in and out of UBER stock over the last year, this morning I initiated a long term position that I will add to if the opportunity presents itself. I can’t think of a better growth stock out there.